Why Pakistan's progress in stabilising the economy has not translated into a significant increase in investment

Dawn published an opinion piece by the chief executive of OICCI arguing that Pakistan's macroeconomic stabilisation has not yet lifted investment. The investment-to-GDP ratio stood at 14.38 per cent in FY26, and the writer points to a hidden expense of engaging state bodies, including approval delays, overlapping licences and uncertain tax assessments. Such uncertainty leaves capital idle and pulls management time away from technology, skills and expansion.

The column proposes one lead authority for each process, backed by a shared digital system and firm decision timelines. It also calls for major reforms to have named institutional owners, measurable targets and regular public progress reviews. On taxes, the writer wants a wider base and less discretion, while linking high electricity costs to distribution losses, weak recoveries, theft and circular debt rather than tariffs alone.

The writer welcomes the Pakistan Brownfield Refinery Upgradation Policy as a long-awaited framework for cleaner fuel investment, though its success will depend on consistent delivery. It also contends that Pakistan needs clearer accountability among existing institutions rather than more committees or regulations. Success, the piece says, would be visible in faster approvals, quicker tax refunds, fewer licences and shorter commercial cases.